India Shelter Finance Corporation Limited has announced the private placement of Non-Convertible Debentures (NCDs) totaling INR 100,00,00,00,000 (One Hundred Crore Rupees). This issuance includes a base size of INR 75.00 Crores and an additional INR 25.00 Crores under a Green Shoe Option. The NCDs will be rated, listed, and secured, with a tenure of 60 months and an interest rate of 8.10% p.a. fixed, payable quarterly. The company aims to strengthen its funding base through this private placement.
India Shelter Finance Corporation Announces NCD Issuance
India Shelter Finance Corporation Limited has officially disclosed plans for the private placement of Non-Convertible Debentures (NCDs). This strategic move is designed to enhance the company’s funding structure and support its growth initiatives. The total issue size is set at a substantial INR 100,00,00,00,000, which translates to One Hundred Crore Rupees. This amount comprises a base issue size of INR 75.00 Crores, supplemented by an optional Green Shoe option of up to INR 25.00 Crores.
Key Terms of the NCD Issuance
The upcoming NCDs are structured to be rated, listed, secured, transferable, and redeemable. Each debenture will have a face value of INR 1,00,000/-. The tenor for these instruments will be 60 months from the deemed date of allotment. Investors can expect a fixed interest rate of 8.10% per annum, with interest and principal payments scheduled to be made on a quarterly basis. The NCDs are secured by a first and exclusive hypothecation charge on the company’s standard receivables, with a minimum asset cover of 1.10 times.
Issuance Details and Listing
The company proposes to issue a total of 10,000 NCDs, each with a nominal value of INR 1,00,000/-. The total aggregate nominal value for the base issue is INR 75,00,00,000/-, and for the green shoe option, it is INR 25,00,00,000/-. These securities are proposed to be listed on the Bombay Stock Exchange (BSE), ensuring liquidity and accessibility for investors. The issuance is being conducted through a private placement mechanism, further detailed in the accompanying annexure.
Source: BSE
